Reinbold v. Thorpe (In re Thorpe)

(7th Cir. Jan. 31, 2018)

The Seventh Circuit affirms the bankruptcy court, holding that the bankruptcy estate took the debtor’s half interest in the real property subject to the debtor’s ex-spouse’s contingent interest in the property. The court applies the Illinois Marriage and Dissolution of Marriage Act and concludes that the divorce court divested the estate of all rights to the marital home when it awarded the property to the debtor’s ex-spouse pre-petition. Opinion below.

Judge: Sykes

Attorneys for the Trustee: Jeana K. Reinbold; Pollick & Schmahl, LLC, Michael Mario Schmahl, John Franklin Pollick

Attorney for Appellee: Katz, Huntoon & Fieweger, Dale G. Haake

2018-01-31 – in re thorpe

Author: Matt Lindblom

 

Smith v. Capital One Bank (USA), N.A.

(7th Cir. Dec. 22, 2016)

The Seventh Circuit affirms the district court’s judgment that the action against the debtor’s spouse did not violate the Chapter 13 co-debtor stay. The action against the spouse was based on a credit card account held only by the spouse. The debtor argued that, based on Wisconsin law, her assets were subject to the spouse’s credit card debt. The court holds that, while the automatic stay would prevent collection from property of the estate, the co-debtor stay did not prevent the action against the spouse because the debtor was not a “co-debtor” on that debt. Opinion below.

Judge: Flaum

Attorneys for Debtor: Kerkman & Dunn, Briane F. Pagel, Jr., Gregory M. Schreiber

Attorneys for Appellee: Hunton & Williams, Jarrett Lee Hale, Gregory G. Hesse, Eric W. Flynn, Faegre Baker Daniels LLP,  Jeffrey P. Justman, Jane E. Maschka, Aaron D. Van Oort

2016-12-22-smith-v-capital-one-bank

Author: Matt Lindblom